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Volume 4, Issue 4, April – 2019 International Journal of Innovative Science and Research Technology

ISSN No:-2456-2165

Research on the Employee Motivation in Tourism


Industry in Danang City
Thi Khanh Ly, Le Tan Tuyen, Ho
Duy Tan University Duy Tan University
Danang City, Vietnam Danang City, Vietnam

Abstract:- The study aims to determine the factors employee motivation at tourism companies in Danang. The
affecting employee motivation in tourism organizations in data for this study were collected through using questionnaires
Danang, Vietnam. To achieve this target, the Likert scale that were distributed among all of the employees of two
will be applied to examine the relationship between similarly sized tourism organizations in Danang. Out of the
independent and dependent variable. The key findings will 987 questionnaires sent out, 873 were returned, which yielded
reveal whether the factors including salary, benefits, a response rate of 88%. Women constituted 63% of the
supervisor, co-worker, work condition, work itself, sample, and the mean age was 32. After adjusting for internal
training, development and recognition have influences on attrition, the analyses in this study finally came to be based on
employee motivation. It will bring to conclude that a pool of 869 individuals who had completed data for all
employee motivation is a highly sensitive concept which is variables of the study.
affected by a multiplicity of factors. This paper also
proposes recommendations for tourism managers to II. LITERATURE REVIEW
cultivate the employee motivation because of its important
role in maximizing the organization’s profits and A. Employee Motivation
improving the business operation. Many managers conduct policies on employee
motivation in order to enhance the effective job management
Keywords:- Employee Motivation, Tourism Industry, Danang among employees in organizations. A motivated employee
City. meets certain goals and objectives that he/she must achieve, so
he/she directs his/her efforts in that direction. Kamalian et al
I. INTRODUCTION (2010) indicated that motivation makes an organization more
successful because excited employees are constantly looking
Danang has recently been viewed as one of the famous for ways to make their work more efficient, so it is necessary
tourist destinations in the world. The New York Times has that organizations create the motivation tablets.
ranked Danang at the fifteenth out of 52 must-go destinations
in 2019. The boom of tourists also motivate travel companies Thus, getting employees to do their best work even in
to increase their presence in this beautiful coastal city. It is strenuous circumstances is one of the employees most stable
demonstrated that human resource management is the most and greasy challenges and this can be made possible through
valuable asset as well as the most important factor in motivating them.
determining the success or failure of the company in the
future; therefore, companies irrespective of size and market B. Previous Researches Related to Job Motivation
strive to retain the best employees. If the employees are not Mohammad Kamal Hossain and Anowar Hossain (2012)
satisfied with their jobs, or are not motivated to fulfill their tried to identify the influencing factors and assess the impact
tasks, they cannot ensure a customer satisfaction service, thus of these factors on the motivation of employees working at
influencing on organizational effectiveness. In order to KFC UK Limited. Data were collected from 70 employees of
overcome these drawbacks, companies should create a strong three KFC food stores in London. The study identified six
and positive relationship with their employees and direct them broad categories of motivation factors such as (1) work itself
towards task fulfilment. As a such competitive context, there and working conditions, (2) supervisor, (3) company itself and
are many reasons for employees to abandon their work. For matter, (4) recognitions, (5) development and (6) pay and
example, they feel dissatisfied with weak material facilities, benefits. The study found that non-financial factors have a
no respects, no sharing from monitors, no motivation, no significantly higher impact on the employee’s motivation than
chance to develop their career, no training, no clear policy, the financial factors.
injustice, poor working environment, non-democratic, etc. If
human resources are not planned effectively, enterprises The author Thi Bich Ngoc Luu (2013) based on two-
cannot get optimal benefits from human resources. Obviously, factor theory of Herzberg to conduct a study on 136 staffs at 3
employee motivation has always been a central problem for – 5 star hotels located in Ho Chi Minh, Vietnam. Her study
leaders and managers, especially in the tourism industry. This showed that there are four factors most impacting on
is the main reason why the author conducts research on

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Volume 4, Issue 4, April – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
employees motivation at the hotels on the extent of lower (1) benefits,
importance, including: (2) working conditions,
(1) co-workers relations, (3) work itself,
(2) advancement, (4) supervisor, and
(3) working conditions and (5) recognitions.
(4) work itself.
In addition, the author combines three independent
Besides, there were many others doing researches on the variables derived from the results of other authors' research
employee motivation such as the model of research into the research model including:
Mohammad Kamal Hossain and Anowar Hossain (2012), the
research of Shaemi Barzoki et al (2012), the model of (6) Salary used in the model of Bhumika Gupta and Jeayaram
Bhumika Gupta and Jeayaram Subramanian, Irum Shahzadi Subramanian, Mohammend AL Doghan and Sukaina Albar
(2014). and Shaemi Barzoki et al.;
(7) Co-worker used in the model of Thi Bich Ngoc Luu et al.,
C. Proposed Research Model Shaemi Barzoki et al.; and
Based on the Herzberg's two-factor theory and the model (8) Training and development used in the model of Bhumika
of research Mohammad Kamal Hossain and Anowar Hossain Gupta and Jeayaram Subramanian, Irum Shahzadi et al.,
(2012), researchers proposed that eight independent variables Thi Bich Ngoc Luu et al.
in which five following independent variables are derived
from the model of research Mohammad Kamal Hossain and All independent variables above may affect the
Anowar Hossain (2012): employee motivation (dependent variable) at the tourism
companies. This study attempts to investigate the possible
relationship among those variables.

Fig 1:- The study’s Proposed Theoretical Framework


Sources: Developed for the research

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Volume 4, Issue 4, April – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
III. RESEARCH METHODOLOGY perspective on their opinion towards the employees’
motivation. The choice of this technique was guided by the
A. Qualitative Research fact that the case study aims to generate findings, which would
After identifying the factors that influence employee facilitate a general, understanding and interpretation of the
motivation, we will interview the manager and the assistant or problem.
coordinators: Knowing that identifying the problem is a
difficult task. The study population comprised a total of 869
employees from various organizational departments. The
This study, an interview was done directly with 25 study population refers to the total collection of elements
persons from different departments of two tourism companies, which one would like to study or make inferences.
of whom ten were managers of departments such as Human
Resource, Food and Beverage, Housekeeping, Human IV. RESULTS
Resources Canteen and Golf Operation. The remaining 15 are
assistants or coordinators of Human Resource, Food and The objective of this part is to interpret and analyze the
Beverage, Housekeeping, Human Resources Canteen, Golf data collected in the research. The data will be analyzed with
Operation and Sales & Marketing. the aid of SPSS software version 20.0. Before quantitative
data is analyzed, it must be edited, coded and transformed.
The scale used in the research model consists of eight The quantitative data research findings will investigate the
influential factors (independent variables) and one employee impacts of the salary, benefits, work itself and environment,
motivation variable (dependent variable) with total 47 items. the working conditions, co-worker, supervisor, advancement,
training and development, recognition towards employee
B. Quantitative Research motivation.
Quantitative research was conducted as soon as the
questionnaire was modified from qualitative research. This A. Cronbach's Alpha Reliability Test
method provided descriptions of the variables in order to To facilitate the viewing of research results, the author
answer the research questions in the study. Survey design also will summarize obtained results shown at the following table:
allows comparisons between respondents giving the right

Scale Cronbach's Alpha Number of Items Strength of Association


Salary 0.892 5 Good
Benefits 0.890 6 Good
Supervisor 0.900 9 Excellent
Co-worker 0.794 4 Conventional
Working conditions 0.797 4 Conventional
Work itself 0.881 4 Good
Training and Development 0.851 4 Good
Recognition 0.847 5 Good
Employees’ motivation 0.896 6 Good
Table 1:- Interpretation of Cronbach’s Alpha
Source:- Field Survey, April, 2018

According to the Table 1, Cronbach’s Alpha values for Alpha for the dependent variable (employees’ motivation) is
each of the predictor variables are as follows: Salary (α = 0.896. All the eight variables and dependent variable are
0.892); Benefits (α = 0.890), Supervisor (α = 0.900); Co- internal consistent and they are reliable as their reliability
worker (α = 0.794); Working conditions (α = 0.797); Work values exceeded the prescribed threshold of 0.7 which paved
itself (α = 0.881); Training and Development (α = 0.851) way for data analysis through results of Cronbanch's Alpha
and Recognition (α = 0.847). In addition, the Cronbach’s statistics.

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Volume 4, Issue 4, April – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
B. Testing the Factor Loading Coefficient of the Independent Variables

Component
1 2 3 4 5 6 7 8
Make work fun place .800
Shows respect to employees .759
Performance appraisal is carried out fairly .756
Shows interest about your personal needs and problems .753
Give constructive feedback .748
Understands the problem facing at work .732
Takes time to listen to your concerns/ suggestions .722
Create the positive atmosphere and environment within
.688
workplace
Be impartial allocating working .666
Free meals in canteen, transportation and medical service .835
Free to visit Asia Park, Ba Na Hills .826
The company contribute a full range of insurance as prescribed
.815
of state regulations
Free golf course .808
Annual staff party and activities for the anniversary or special
.786
day
Material bonus .719
Salaries paid commensurate with the level of contributions,
.850
working capacity
Salaries fully to help you more comfortable life .840
Salary is paid to your bank account on time .804
Salaries fully to meet the needs of your life .788
Employees are satisfied with the company's pay system. .767
Your supervisor thanks or acknowledges your good work .814
Holding monthly or yearly social events .814
Receive informal praise and appreciation for better performance .790
Holds celebrations for success .770
Management appreciate as employee come up with new and
.708
better ideas
Reasonableness in work (not high/low pressure .896
Involvement in decisions making .826
Challenging work .806
Flexible working hour .801
Fair training and development policies .856
Your company has training programs that assists you to gain
.848
more working experience in the job that you are doing
Your company provides you with the opportunity to achieve
.833
your career goals
Your company is supportive your long-term career development
.734
(such as : time and cash)
All the necessary working tools are availed .792
The working environment is clean and hygiene .768
You do not worry about losing job .748
Safe and healthy working conditions are provided .614
Co-worker are trustworthy in work .804
Colleagues inspire for you .771
Co-worker are friendly .753
You get support from your colleagues .720
Table 2:- Rotated component matrixa of the independent variables
Source:- Field Survey, April, 2018

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Volume 4, Issue 4, April – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
According to the Table 2, factor loading coefficients are C. Adjusted Models
greater than 0.55, the scale of the eight independent variables Through testing scale by EFA and Cronbach's’ Alpha
are rotation converged in 7 iterations. The number of factors reliability, the author will adjust the original theoretical
generated after the analysis is eight factors with a total of 47 research model into following model includes eight factors
items. that affect the employees' motivation in tourism companies
and 47 observation variables which demonstrate for these
factors.

Fig 2:- The adjusted research model


Sources:- Developed for the research

And the study gives out following new research  H6: The factor work itself significantly and positively
hypotheses: affects employee motivation at BHGC.
 H1: The factor salary significantly and positively affects  H7: The factor training and development significantly
employee motivation at BHGC. and positively affects employee motivation at BHGC.
 H2: The factor benefits significantly and positively  H8: The factor recognition significantly and positively
affects employee motivation at BHGC. affects employee motivation at BHGC.
 H3: The factor supervisor significantly and positively
affects employee motivation at BHGC. D. Testing the Correlation Coefficient (R Value)
 H4: The factor co-worker significantly and positively The Multiple Regression Analysis is used to determine
affects employee motivation at BHGC. the significant relationships between independent variables
 H5: The factor working conditions significantly and (salary, benefits, working conditions, work itself, recognition,
positively affects employee motivation at BHGC. supervisor, co-worker and training and development) and
dependent variable (employee motivation).

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Volume 4, Issue 4, April – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
Model R R Square Adjusted R Square Std. Error of the Estimate Durbin- Watson
1 .742a .550 b .511 .276 1.701
Table 3:- Model Summary
Source:- Field Survey, April, 2018

a. Predictors: (Constant), Recognition, Supervisor, Work positively affects independent variable (salary, benefits,
itself, Benefits, Working conditions, Co-worker, Training working conditions, work itself, recognition, supervisor, co-
and Development, Salary worker and training and development) because R value is
positive value and 0.742 is fall under coefficient range ±0.71
b. Dependent Variable: Employee Motivation to ±1.
Based on the Model Summary Table 3, the correlation
coefficient (R value) for this research is 0.742. This means E. Testing the Anova
that the dependent variable (employee motivation) strong

Model Sum of Squares Df Mean Square F Sig.


1 Regression 8.469 8 1.059 13.919 .000b
Residual 6.921 91 .076
Total 15.390 99
Table 4:- Anova
Source:- Field Survey, April, 2018

 Dependent Variable:- Employee Motivation V. CONCLUSION


 Predictors:- (Constant), Recognition, Supervisor, Work
itself, Benefits, Working conditions, Co-worker, Training According to the research findings and analysis, the
and Development, Salary author found that all the p-values for all the variables (47
items) were less than 0.05, an indication that all the factors
In the Anova table 4, it shows that the F value of 13.919 (eight factors) which the author proposed in the research
greater than 5 and the p-value is 0.00 which is less than 0.05 model is statistically significant to influence motivation of
(p< 0.05) so significant at the 0.05 level. The significance employees as follows:
value was-is less than 0.05, an indication that the model was-
is significant. In overall the regression model with those eight The study also revealed that training and development
independent variables of recognition, supervisor, work itself, is inextricably linked to the motivation of the workforce, thus
benefits, working conditions, co-worker, training and concluding that training and development has a positive
development, salary is suitable for explaining the variation in effect on employee’s motivation in tourism companies. The
employee motivation. study further reassured that co-worker is strongly influenced
workers ‟behavior, giving co-worker a compelling reason to
F. Develop Regression Equation with Standardized continue working for their employer and try their best to
Coefficients finish the assignment. The results also show that the salary
The standardized coefficients predict the influence level ranks third in the total eight factors proposed by the author.
of independent variables (salary, benefits, supervisor, co- The remaining factors as Work itself, Benefits, Supervisor,
worker, working conditions, work itself, training and Working conditions and Recognition have little impact on
development and recognition) on employees' motivation in employee motivation.
tourism companies. We can be determined by the following
regression equation with standardized coefficients as below: The results also showed that the evaluation of employee
motivation on job is at a normal level with the average point
Y_EM = 0.257Sal + 0.190Ben + 0.141Sup + 0.314Cow + = 3.0 in the five point Likert scale. This shows that the
0.235Wco + 0.222Wi + 0.440TaD + 0.207R tourism companies need to try harder to improve their
Or: policies to increase motivation for employees.

Employees’ Motivation = 0.257Salary + 0.190Benefits +


0.141Supervisor + 0.314Co-worker + 0.235Working
conditions + 0.222Work itself + 0.440Training and
Development + 0.207Recongintion

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Volume 4, Issue 4, April – 2019 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
RECOMMENDATIONS [5]. Shaemi Barzoki, Attafar, RezaJannati (2012), An
Analysis of Factors Affecting the Employees Motivation
In general, employees desire to be given opportunities based on Herzberg’s Hygiene Factors Theory, Australian
of individual career development, therefore the company Journal of Basic and Applied Sciences.
should establish appropriate policies of HR development and [6]. Sekaran, U. & Bougie, R. (2010). Research Methods for
create opportunities for qualified individuals to promote in Business: A Skill Building Approach (5th ed.).
their career ladder such as: skills development programs, Chichester, West Sussex: John Willey & Sons, Inc.
professional training courses a working environment with
many positive challenges. The policies of HR development
need to ensure the fairness, equal competitive opportunities
for every employee, as well as make them feel motivated in
their jobs.

It is a fact that co-workers are highly exposed to each


other at work and in daily life, just behind their family.
Therefore, colleagues play an important role in establishing
influences on the motivation and performance of employees.
Co-workers need to care and support each other in work and
life. The effectiveness of coordination among employees is
also supported by their direct managers. Therefore,
supervisors need create a cheerful working context for
employees.

Recently, although the salary system provided by


tourism companies have been improved, there are still some
problems affecting employee motivation at work. Actually,
employees in tourism industry have to work under pressure to
satisfy customers, however the average income is just enough
to meet their basic demands. Therefore, in the coming time,
the company needs to adjust the salary policy accordingly
through revising its payment system to deserve effort of
employees. With a higher income level, consistent with the
current inflation situation, employees can increase their
living standards. It will result in improving the staffs’
motivation at work.

REFERENCES

[1]. Bhumika Gupta and Jeayaram Subramanian (2014),


Factors affecting motivation among employee
motivation in Consultancy Companie, Research model,
p.04.
[2]. Thi Bich Ngoc Luu, Trong Tuan Luu (2013), "Factors
affecting employees' motivation in the hotel", Ho Chi
Minh City University of Science and Technology, No.
49, 2013.
[3]. Kamalian, A. R., Yaghoubi, N. M., & Moloudi, J.,
(2010) Survey of Relationship between Organizational
Justice and Empowerment (A Case Study). European
Journal of Economics, Finance and Administrative
Sciences, 24, 165-171.
[4]. Mohammad Kamal Hossain and Anowar Hossain
(2012), Factors affecting employee motivation in the fast
food industry: The case of KFC UK LT.

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